Central Provident Fund (CPF) members will continue to earn annual interest rates of up to 3.5 per cent on their Ordinary Account (OA) monies, and up to 5 per cent on their Special and Medisave Accounts monies in the second quarter of 2017.
In a press release yesterday, CPF said members will also earn up to 5 per cent per annum on their Retirement Account monies this year.
It includes the extra per cent interest paid on the first $60,000 of a member’s combined balances (with up to $20,000 from the OA), which is part of the Government’s efforts to enhance members’ retirement savings.
Those aged 55 and above will also earn an additional 1 per cent interest on the first $30,000 of their combined balances, which is over and above the current extra 1 per cent interest earned on the first $60,000 of their combined balances.
This takes the interest on their retirement balances to 6 per cent per year, CPF added.
CPF said the OA interest rate will be maintained at 2.5 per cent from April 1 to June 30, as the computed rate of 0.24 per cent, which is lower than the legislated minimum interest rate.
Meanwhile, the concessionary interest rate for HDB mortgage loans – pegged at 0.1 per cent above the OA interest rate – remains unchanged at 2.6 per cent per annum for the quarter.
CPF members with queries can visit cpf.gov.sg or call the CPF Call Centre on 1800-227-1188.
This article was first published on February 16, 2017.
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